Multiple Choice
If a company's fixed asset turnover ratio decreased from 2010 to 2011, which of the following conclusions can be made?
A) The company was more efficient during 2011 in using its fixed assets to produce profits
B) The company produced less sales in 2011 for each dollar invested in fixed assets compare to 2010.
C) The company was less profitable in 2010.
D) The company over invested in fixed assets in 2010.
Correct Answer:
Verified
Correct Answer:
Verified
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